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TCC makes US$13.7m from sale to CNBM 09 January 2013
China: TCC International Holdings has reported that it has signed an agreement with Southwestern Cement, a subsidiary of China National Building Material Group Corp (CNBM), to 'increase cooperation on several businesses'.
According to agreement, TCC will buy cement assets in Sichuan Province from Southwestern Cement for US$8.52m to expand its share of the local market, while TCC will sell its cement assets in Guizhou Province to Southwestern Cement for US$17.8m. TCC will earn US$137m in profit from the deal and will use the profit to replenish working capital and fund future acquisition projects.
Liberia drops tax on cement 09 January 2013
Liberia: President Ellen Johnson Sirleaf of Liberia has suspended tariffs on cement. The government cited that the move was in the interest of national reconstruction and development.
Under Executive Order No. 46, titled 'Re-Instituting the Suspension of the Protective Tariff on Cement,' the Liberian government has repealed a US$2 protective tariff per 50kg bag of Portland cement imposed under the Revenue Code of Liberia, tariff No. 25.23. The mandate added that the need still exists to encourage local industries to supply cement to the general public at reasonable prices.
Liberia currently has one cement grinding plant, the Liberia Cement Corporation, a subsidiary of HeidelbergCement which employs 63 people. In 2012 Nigerian cement producer Dangote announced plants to build a US$35m plant in the country.
More cement testing labs join Cement Manufacturers Association of the Philippines programme on product safety 09 January 2013
Philippines: A total of 38 laboratories that conduct proficiency tests on cement products have participated in the fourth round of the Cement Manufacturers Association of the Philippines' (CeMAP) proficiency testing programme. Twelve of the laboratories were from the Department of Public Works and Highways (DPWH), 15 from CeMAP members and 11 were non-member or private laboratories. These laboratories are subjected to proficiency test as a requirement for the renewal of their DPWH certificate of accreditation.
"Participation in the proficiency testing programme is a crucial component in our responsibility to ensure that only quality cement products are available in the market," said CeMAP president Ernesto Ordoñez.
Ordoñez disclosed that the programme's first round in 2006 only had CeMAP member laboratories, while rounds two and three involved both CeMAP member and DPWH laboratories. Round four was significant as all the private laboratories involved were required to seek DPWH accreditation. Ordoñez added that this proficiency testing is the first and only one in Southeast Asia. CeMAP intend to conduct the testing annually to monitor the competency and performance of the laboratories.
Nigerian minister announces industry review 09 January 2013
Nigeria: Nigeria's Minister of Trade and Investment, Olusegun Aganga has announced that he will conduct an independent assessment of the country's cement industry to make it more competitive. The move follows a dispute between importer Ibeto Cement Company and leading producer Dangote Cement.
According to Aganga, at a meeting for stakeholders from the cement industry held on 7 January 2013 in Abuja, by the end of the entire review the Federal Government will draw up with a new strategy for the industry with three goals. The first is to bring down the price of cement in the country, the second is increase consumption of cement and the third is work on policies to open up the export market.
Aganga defended Nigeria's 10-year implementation of the Backward Integration Policy (BIP). According to Aganga the BIP has resulted in about US$6bn of investment in the sector, with a growth from 2Mt/yr to 28Mt/yr, and it has saved the country foreign exchange of about US$1.4bn/yr. The Nigerian cement industry provides direct and indirect employment for about two million people.
"We have achieved everything we set for ourselves 10 years ago when the BIP was introduced; we want to take the next step as part of our strategy on the way forward," said Aganga.
Pakistan exports fall by 5% for first half of 2012-2013 09 January 2013
Pakistan: Cement exports from Pakistan have fallen by 5.28% to 4.22Mt, according to figures on the first six months of the 2012-2013 financial year from the All Pakistan Cement Manufacturers Association (APCMA). However domestic cement sales increased by 7.61% to 11.7Mt in the same period. The Pakistan financial year runs from 1 July until 30 June.
A statement from the APCMA revealed that cement plants in the south of the country grew by 7.98% in the local market but posted even higher declines of 16.3% for exports. In the north, where the majority of the country's cement capacity of located, the industry posted a growth of 7.52% in domestic sales whilst exports declined by 1.31%.
The APCMA added that hype created on trade with India has so far not materialised and export in that market was only 0.209Mt during the last six months, a decline of 40.41% and a result well below the expectation of the cement sector. The APCMA spokesman blamed 'stringent non tariff barriers' from India.
During the last six months, the adjacent Afghanistan market remained stable and cement sector exported 2.41Mt. Exports to other destination through sea excluding India also remained stable in comparison with the last six months of 2011-12.